Abstract
Kazakhstan possesses extensive natural resource reserves expected to yield significant export revenues. Since independence in 1991, the composition of exports has changed in favor of energy-related sectors. In the context of such evidence and considerable expected future revenues, researchers have pointed to possible Dutch disease effects. This paper examines whether Kazakhstan is vulnerable to this condition. Using an extended version of the Balassa–Samuelson model including the price of oil, we find evidence that changes in those terms had a significant effect on the real exchange rate during 1996–2003, suggesting symptoms of significant Dutch disease effects in Kazakhstan.
Published Version
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
